National Transport Policy of Pakistan 2017

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National Transport Policy of Pakistan 2017 National Transport Policy of Pakistan 2017 Ministry of Planning, Development & Reform Government of Pakistan National Transport Policy of Pakistan 2017 Key messages from the Prime Minister, the Minister of Planning, Development and Reform and the Chief Ministers 2 of 40 DRAFT – for concurrence National Transport Policy of Pakistan 2017 Key messages from the Prime Minister, the Minister of Planning, Development and Reform and the Chief Ministers [Brief statements or messages from the Prime Minister, Minister of Planning, Development and Reform and the Chief Ministers to be added.] 3 of 40 DRAFT – for concurrence National Transport Policy of Pakistan 2017 4 of 40 DRAFT – for concurrence National Transport Policy of Pakistan 2017 Contents Introduction messages 2 1 The State of Pakistan’s Transport Sector 4 1.1 Pakistan’s Transport Context: The Current Situation 5 1.2 Business as Usual Scenario 10 2 The Need for a National Transport Policy and Master Plan 14 2.1 Contribution to the Pakistan’s Government Policies and Plans 15 2.2 Relationship with existing policies and transport plans 16 3 National Transport Vision for Pakistan 17 3.1 Vision Statement 17 4 Principles for the Governance of Pakistan’s Transport Sector 18 5 National Transport Policy Objectives 21 6 Policy directions for each of the transport sub-sectors 26 6.1 Road transport 27 6.2 Rail transport 28 6.3 Air transport 29 6.4 Maritime transport 30 6.5 Pipelines 31 6.6 Inland Waterway transport 31 6.7 Urban transport 32 6.8 Multimodal logistics 33 7 Implementation arrangements 34 8 Bibliography 37 5 of 40 DRAFT – for concurrence National Transport Policy of Pakistan 2017 1. The State of Pakistan’s Transport Sector 6 of 40 DRAFT – for concurrence National Transport Policy of Pakistan 2017 1. The State of Pakistan’s Transport Sector Transport is a key driver of socioeconomic development. 1.1 Pakistan’s Transport Context: Transport allows our people to access jobs, markets, social interaction, education, and other services, The Current Situation enabling people to rise out of poverty and overcome social exclusion. Transport adds value to goods brought Pakistan is a populous and rapidly urbanizing country, to markets, links rural areas to cities and global supply with an ever-growing demand for transport. With a chains, driving economic development. population approaching 210 million, it is the 6th most populous nation in the world and continues to grow at The Government of Pakistan, cognizant of this fact, has a high rate of 2.4% (Pakistan Bureau of Statistics, 2017). invested large amounts of human and financial resources Pakistan’s population travels nearly 400 billion passenger into the development of the transport sector. Such kilometres (pkm) each year and this is expected to rise investments are also being supported through the China to 1,000 billion pkm by 2030 (estimates based upon Pakistan Economic Corridors (CPEC) program, the Central Pakistan Economic Survey, 2017). This population growth Asia Regional Economic Cooperation (CAREC) program and continues to add pressure on the transport infrastructure, other foreign-assisted initiatives. access to basic public services (particularly healthcare and education), availability of land and housing, and the Pakistan has the opportunity to match these vast natural environment. The urban population accounts investments with a cohesive policy and planning framework for approximately 76 million residents, or 36% of the to transform the transport sector into a modern, sustainable population and is set to reach 50% by 2025 (Planning and effective one, helping businesses to grow, empowering Commission, 2014; Pakistan Bureau of Statistics, 2017). the creation of new industries and supporting the creation Plans have been prepared to help improve urban transport of quality jobs. and mobility within a number of cities. For many of these plans, investment in road transport infrastructure and mass This National Transport Policy (hereafter the Policy) is a transit systems has been the focus. Yet, such improvements manifestation of the Government of Pakistan’s aim to have fallen short of the challenge at hand, resulting in achieving world class standards for Pakistan’s transport growing congestion and both environmental (air quality/ sector. The Policy sets the overall direction of the sector. noise) and safety (crash) problems. Karachi, Peshawar and It contains the overall vision (chapter 3), principles for Lahore have been ranked low in terms of liveability due to the governance of the transport sector (chapter 4), policy environmental quality (World Health Organization, 2016). objectives (chapter 5), contributions for each subsector These all have negative impacts on economic productivity, (chapter 6) and the implementation arrangements (chapter social well-being, and people’s ability to prosper in the 7). This will be elaborated in an accompanying Master Plan long-term. which shall identify all necessary interventions to achieve the vision and policy objectives. The Policy has been developed through a collaborative process, receiving inputs from many key stakeholders from across federal and provincial government agencies, transport operators, the business sector, academia, and civil society. 7 of 40 DRAFT – for concurrence National Transport Policy of Pakistan 2017 Pakistan’s economy has recorded steady growth, but job (iii) Urban transport is dominated by the road sector. creation and investment is an ongoing challenge. Since Heavy vehicles (trucks and buses), passenger the global recession in 2008-09, Gross Domestic Product vans, private cars, motorcycles, taxis, qingqis, and (GDP) growth is rising to 5.3% in 2016-17 and is forecasted pedestrians share the road in the urban environment. to continue to growth to 5.8% in 2019 (Ministry of Finance, Cycling in the urban centre is almost non-existent. 2017; World Bank, 2017). Transport itself contributes 22.3% Car-oriented development has been the focus of of the services sector GDP and accounts for approximately many areas with a resultant lack of safety facilities for 6% of the nation’s total employment (Ministry of Finance, pedestrians. Several large cities, including Lahore, 2017). However, GDP needs to grow at 7-8% to create an Islamabad-Rawalpindi, Multan, Karachi and Peshawar additional 1.5m employment opportunities per annum have developed or are implementing bus rapid and investment levels need to improve beyond the current transit systems. level of 15.8% of GDP, which is one of the lowest investment (iv) Rural transport is dominated by the road sector as rates in the world, and only half of the South Asia average well. It comprises of a mixture of sealed (metaled) (Ministry of Finance, 2017; World Bank, 2017). The increasing and unsealed (unmetaled) roads. The main modes fiscal deficit adversely impacts on the capacity of the of transport in rural areas are on foot, bicycle, Government of Pakistan to increase transport investment. motorcycle, qingqi and tractor-trolley for freight. Rural accessibility remains low, with only 53% of the The geography and past development of Pakistan lead rural population living within 2 km of an all-weather to four distinct levels of transport flows that interact. road (calculations based upon Rural Accessibility International transport through international gateways, Index of the World Bank, 2017), compelling them to inter-urban via the strategic federal and provincial network, long travel times to reach markets and other areas. urban and rural transport: (i) International transport is connecting Pakistan Rural connectivity remains important for equitable via its border crossings, ports and airports to growth. Rural communities account for 118 million persons its neighbouring countries and further abroad. or 60% of the population (Ministry of Finance, 2017). Over Pakistan’s economy relies on these international half of the rural population experience and live in poverty connections, including a large Pakistani work force in (Ministry of Finance, 2017). This affects women in rural areas the Gulf states that fly in and out. In addition, there more, and is largely contributable to their lack of access is a growing emphasis to increase trade with the to healthcare facilities and inability to attend schooling Central Asian region. (Planning Commission, 2016). The low connectivity in rural areas, with the majority of all rural health, education, (ii) Inter-urban transport facilitates domestic and market facilities accessible only by dirt roads, limits connectivity to and from the main destinations economic growth and ways to alleviate poverty in these within Pakistan. Inter-urban passenger and freight areas. Overloading of trucks and the frequent use of transport in Pakistan is primarily via road (94% of tractor-trolleys on rural roads is severely affecting the all passenger kilometres (pkm) and 98% of freight quality of the road network. There exists limited (financial tonnes kilometres (tkm), wherein 80% is via the and institutional) capacity to maintain and develop the National Highway Network and rail (5% of all pkm rural transport network with roads being maintained at the and 2% of all tkm). A small proportion of passenger district level and no mechanisms for asset management trips and freight are by domestic flights (1% of all implemented. Moreover, the large economic disparity pkm). Pipelines are utilized for oil and gas. Inland between urban and rural areas increases the rural to urban shipping or ferry-services as a means of inter-urban
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